Trust Profile
Mission
The 501(c) Agencies Trust mission is to provide a quality unemployment program for nonprofit organizations that saves them money.
Background
The Trust was started with 14 nonprofit agencies in 1982. The goal was to help nonprofits reduce their unemployment costs by leaving their state unemployment tax systems (as permitted by federal law) and becoming reimbursing employers in a safe and secure alternative program. Since that time, the Trust has grown to more than 1,500 organizations operating in 45 states.
Governance
A volunteer Board of Trustees comprised of Trust members convenes quarterly to review unemployment claims and trends, financials, and strategy. Day-to-day operation of the Trust is provided by 501(c) Services, an experienced and professional team of customer service, unemployment claims and financial, tax and insurance individuals.
Assets
The Trust has more than $60 million in assets that are owned by the individual members. Trust member reserve accounts are individually held and owned. Money is not pooled, so the funds held by one member are not used to cover the unemployment costs of another member.
Investments
Trust funds are invested prudently, and the return on investments is credited back to members based on the balance in their reserve account. Trust investments are controlled by the Board of Trustees, which confers with outside investment consultant Wurts & Associates.
Protection
The Trust is protected by several insurance programs. These include stop loss insurance, which protects members in the event of unusually high unemployment claims; Trustee Fiduciary Responsibility Liability, which protects the trustees; and a commercial crime bond, which protects the Trust in the event of lost or stolen funds.